CBSL prediction seen as boosting CSE

By Hiran H.Senewiratne 

The CBSL expects Sri Lanka’s growth to contract by 1.7 percent in 2020. This prediction is far more optimistic than similar projections made by the International Monetary Fund and Asian Development Bank, which estimate growth to reduce by 5.5 percent to -6 percent  in 2020.

These latest projections were published in a Central Bank report titled ‘Recent Economic Developments: Highlights of 2020 and Prospects for 2021’. Despite the strong impact of COVID-19 on economic expansion this year, the Central Bank has remained staunchly optimistic, initially projecting the economy would grow by 1.5  percent  before shifting to a neutral stance. 

As a result, the All Share Price Index was up by 143.71 points and S and P SL-20 by 37 points. The turnover stood at Rs. 2.7 billion with a crossing. The crossing was reported in JKH, which crossed 900,000 shares to the tune of Rs. 117.9 million; its share traded at Rs. 131.

In the retail market, top five companies that mainly contributed to the turnover were; Expolanka Rs. 878 million (41.8 million shares traded), Piramal Glass Rs. 364.9 million (45.5 million shares traded), Dip Products Rs. 176.7 million (558,000 shares traded), JKH Rs. 110 million (830,000 shares traded) and Tokyo Cement (Non Voting) Rs. 106.5 million (two million shares traded). During the day  189 million share volumes changed hands in 27825 transactions.